In 2025, more than 60% of cryptocurrency startups planning to enter the European market faced the need to completely overhaul their business models due to MiCA regulation and tightened AML compliance. While institutional investors are increasing requirements for transparency and legal harmonization, many international companies note: EU new rules not only raise costs but also create market entry barriers for innovative projects, especially in the stablecoin and asset tokenization segment.
When MiCA Doesn’t Suit Crypto Businesses
MiCA regulation is intended to unify approaches to the regulation of crypto assets in the EU, but in practice, not all business models and scaling strategies fit within its framework. COREDO experts have repeatedly encountered situations where the adoption of MiCA created additional barriers for international companies, especially regarding AML compliance and cross-border licensing.
Limitations of MiCA for International Companies
MiCA introduces strict requirements for the classification of crypto assets, corporate governance, and asset custody. For companies working with innovative business models, such as asset tokenization or stablecoins, these requirements become not only financially burdensome but also hinder the rapid launch of projects. Crypto asset management protocols must comply with unified EU standards, which limits flexibility and requires significant investment in legal harmonization and integration of AML/KYC processes.
When MiCA is Disadvantageous for Crypto Businesses
MiCA is not suitable for companies focused on rapid scaling, working in multiple markets, or providing flexible crypto services (e.g., custodial services, DeFi products, multi-asset platforms). Compliance for cryptocurrency companies in Asia and other regions is often based on different principles, and integrating these processes within the MiCA framework requires significant time and resources.
Cryptocurrency Regulation in Switzerland
Switzerland has long established itself as a jurisdiction with high transparency of crypto asset regulations and a flexible approach to innovation. A solution developed by COREDO for one of the clients showed that registering a crypto business in Switzerland allows not only obtaining a VASP license in the shortest possible time but also ensuring the legalization of cryptocurrency operations in accordance with FATF and AMLA requirements.
FINMA Requirements for VASP in 2025
FINMA (Swiss regulator) establishes clear yet flexible rules for VASP (Virtual Asset Service Provider). By 2025, requirements for corporate governance, custody, and asset reservation, as well as AML/KYC process integration, have become even more structured, while maintaining adaptability for innovative models. To obtain a crypto license in Switzerland, you need to:
- Confirm transparency of the corporate structure and sources of funding.
- Implement KYC and AML procedures in accordance with AMLA and FATF standards.
- Ensure custody and reservation of assets comparable to the banking sector.
- Demonstrate sustainable risk management and internal protocols for crypto asset management.
AML and KYC for Crypto Business in Switzerland
AML compliance in Switzerland is based on principles of transparency and preventive control. Key requirements include:
- Multi-level client identification (KYC), including for complex corporate structures and transactions involving stablecoins.
- Use of transaction analysis technologies and suspicious operation monitoring.
- Integration of AML/KYC processes into the company’s business processes considering FATF and 5AMLD requirements.
Cryptocurrency Taxes in Russia
One of Switzerland’s key advantages is its high tax clarity for crypto assets. Unlike most EU countries, where tax regimes for crypto businesses vary and often change, Switzerland has a transparent taxation system:
- Crypto assets are recognized as property and are taxed on capital, not income.
- Companies involved in asset tokenization and stablecoins are eligible for tax benefits and special regimes.
- Tax burden optimization is possible for cross-border operations, as confirmed by COREDO’s experience in supporting clients from the EU and Asia.
MiCA or Swiss Crypto Regulation: Comparison
| Criteria | MiCA (EU) | Switzerland (FINMA) |
|---|---|---|
| Legal Harmonization | Yes (unified rules for the EU) | No (national approach) |
| AML/KYC Requirements | Strict, standardized | Strict, but flexible |
| Tax Clarity | Depends on the EU country | High, transparent |
| Innovation Possibility | Pilot regimes, but more restrictions | Flexibility, support for innovations |
| Licensing Costs and Timing | Higher, longer | Lower, faster |
| Cross-Border Licensing | Yes (within the EU) | No, but easy export of services |
| Judicial Practice | Being formed | Rich experience |
Crypto License in Switzerland for the EU
The decision to register a cryptocurrency business in Switzerland requires a strategic approach and a deep understanding of regulatory requirements. COREDO’s experience shows: a clear roadmap and professional legal support minimize risks and accelerate market entry into the EU and Asia.
Therefore, successful company registration and obtaining a license in Switzerland requires a phased approach and careful preparation for each stage, which forms the basis for further consideration of the structural and legal nuances of the process.
Registration and Licensing of a Crypto Business in Switzerland
- Choosing an Organizational-Legal Form: Preference is usually given to AG or GmbH, providing flexibility in corporate governance.
- Preparation of Founding Documents and Business Plan: It is important to detail the management structure, funding sources, and asset storage mechanisms.
- Submitting an Application to FINMA: Includes disclosure of beneficial owners, description of AML/KYC processes, and internal control.
- Implementing Compliance Procedures: At this stage, COREDO develops individual AML/KYC policies, integrating transaction analysis and monitoring technologies.
- Obtaining a VASP License and Company Registration: Once FINMA approves, the company can officially provide crypto services and scale the business to the EU and Asian markets.
AML/KYC and Compliance with FATF Requirements
Key Elements:
- Use of automated transaction monitoring systems.
- Regular employee training and internal process audits.
- Implementing risk management and reporting protocols for institutional investors.
ROI and Risks of Swiss Jurisdiction
The ROI assessment for crypto companies in Switzerland is based on balancing licensing costs, tax burden, and scaling opportunities. A solution developed by COREDO for a client reduced costs by 30% compared to a similar project in the EU and enabled entry into new markets due to the ease of cross-border operations.
– Lack of automatic cross-border licensing within the EU.
– Need for constant monitoring of regulatory changes.
– Potential barriers when entering the EU market related to legal harmonization.
Where to Scale a Crypto Business: Switzerland, EU, or Asia?
the choice of jurisdiction for scaling a crypto business depends on strategic goals, client structure, and product features. COREDO’s experience covers company registration in the EU, Asia, and Switzerland, allowing an objective evaluation of each model’s advantages.
– Switzerland, optimal for innovative startups focused on institutional investors and international markets, where regulatory flexibility and tax clarity are critical.
– EU, suitable for companies targeting the mass market and cross-border licensing within a single legal field, provided they are ready for high compliance costs.
– Asia is attractive for projects working with high-tech products and multi-jurisdictional clients but requires special attention to compliance and local AML/KYC requirements.
Recommendations for Entrepreneurs
- The MiCA regulation is a powerful tool for legal harmonization but not a universal solution for all business models.
- Switzerland offers a unique combination of flexibility, transparency, and tax clarity for crypto businesses, especially in innovative services and asset tokenization segments.
- The key to successfully entering the EU and Asian markets: professional legal support, AML/KYC process integration, and constant monitoring of regulatory changes.
- COREDO practice confirms: an individualized approach to jurisdiction selection and compliance architecture building allows not only to minimize risks but also significantly increase the company’s investment appeal.
- For long-term success, building corporate governance oriented towards institutional investor and international regulator requirements is critical.
MiCA and Switzerland: Answering Questions
MiCA is not suitable for companies focused on rapid scaling, flexible business models, and innovative products, where integrating AML/KYC and corporate governance requires individualized solutions.
High tax clarity, regulatory flexibility, support for innovative models, and a developed crypto infrastructure in Switzerland allow for rapid business launch and scaling while maintaining compliance with international standards.
The main risks are related to the absence of automatic cross-border licensing in the EU and the necessity of constant monitoring of changes in European regulation.
Implement multi-level AML/KYC processes, use transaction analysis technologies, and conduct regular internal audits, which COREDO practices have proven effective for international crypto companies.
On average, the process takes from 3 to 6 months, with costs 20-30% lower than licensing in the EU. The final cost depends on the business structure and chosen risk management model.
Besides the EU and Switzerland, Singapore, Estonia, Cyprus, and the UK are in demand – each with its own regulatory features, taxation, and compliance specifics.
It is recommended to use automated solutions adapted to different regulatory requirements and to build a compliance architecture considering the specifics of each jurisdiction.
Regulatory stability, a developed legal framework for crypto-assets, and support for innovations make Switzerland attractive for long-term investments and scaling of crypto businesses.